04/09/2024 09:04

Pilbara Minerals Ltd (PLS) $2.75

The lithium (Li) space has endured an awful time since early 2023, wiping out most of the gains since COVID. Good old-fashioned supply and demand have smashed the price of Li by around 90%, and although the exact pricing is a touch opaque, the trend is most definitely not. Over the last few months alone, we’ve witnessed prices drop another ~30%, posting multi-year lows in the process.

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26/08/2024 17:44

Pilbara Minerals (PLS) $3.02

PLS +1.34%: It’s been a tough couple of years for PLS, however they continue to show discipline around costs and future development given the weak pricing environment for Lithium.

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02/08/2024 09:15

Pilbara Minerals Ltd (PLS) $3.06

PLS remains the most shorted stock in the ASX200, with over 21% of its stock held short. This has been a great win for traders who have ridden the Li producer lower over recent years. To put things into perspective, the 2nd largest short is EDP Education (IEL), and it's only carrying a 12.5% short position. In the short-term, the supply side of the Li equation is clearly winning, and longer-term plans from the likes of Zijin Mining's Manono could solve any potential 2030 deficit, i.e. expectations of a significant bounce from today's depressed levels may disappoint.

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03/07/2024 09:19

Lithium

According to S&P Global Patts, Spodumene slipped below $1000/MT this week for the first time since March, around 88% below its 2022 high. As subscribers know, the weakening demand for EVs and the increasing supply has weighed on the chemical (LI), dragging stocks along for the ride.

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12/06/2024 09:44

Active Growth Portfolio – Amendments

We are making changes to the Growth Portfolio.

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12/06/2024 09:17

Pilbara Minerals Ltd (PLS) $3.51

We have discussed PLS several times through 2024, and we don’t want to reinvent the wheel from an analysis perspective this morning. We’ve been long for five months and are up less than 1%; in other words, the position isn’t delivering, and we all know that hope is not a successful approach to investing. We have been looking for a turnaround by the embattled lithium and ESG plays, but again, this is yet to play out; hence, we are reconsidering our position around breakeven – the trends down and surprises are usually with the trend, and in this case, it's not in our favour.

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21/05/2024 09:01

Pilbara Minerals (PLS) $4.20

We have followed PLS closely over the last 6-months, especially since we went long in mid-January. PLS is our preferred local pure lithium play, which comes with the added spice of over 21% of the stock being held short; a “short squeeze” up towards $5 is easy to visualise if/when the weak traders start to capitulate.

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30/04/2024 09:04

Pilbara Minerals Ltd (PLS) $3.96

PLS rallied +4.2% on Monday, although, unlike SFR, the stocks struggled to advance over the last few years as lithium prices haemorrhaged on excess supply and disappointing demand as EVs struggled to gain traction in the US. However, while it may be too early to project lithium deficits, RBC is now expecting lithium prices to rise in 2025 and 2026 as EV sales increase.

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19/04/2024 16:45

Pilbara (PLS) $3.83

PLS -2.3%: shares in the lithium company struggled today, though it looks largely as a result of weakness in the space rather than any concerning news out of their 3Q update today. They produced 2% more spodumene concentrate vs 2Q, though revenue slipped on the back of a 28% fall in realized price to $US804/t.

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11/04/2024 09:29

Pilbara Minerals Ltd (PLS) $3.92

We have written about PLS a number of times in recent months; the company remains our preferred exposure in the volatile space, although it is unlikely to either ascend or descend as fast as many. This is a proven miner that turns a profit and pays a dividend, which should continue to cushion moves if weakness persists in the underlying lithium price. Over 20% of PLS is held short, which is both exciting from a squeeze perspective but also a concern because professional traders are betting against the stock/sector.

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